Home / Knowledge / News / Apparel/Garments / Rise in operating costs impacts Global Brands H1 EBITDA
Rise in operating costs impacts Global Brands H1 EBITDA
22
Aug '14
A rise in operating costs negatively impacted EBITDA in the first six months of 2014 at Global Brands Group, a Hong Kong based marketer of branded apparel, fashion accessories and lifestyle products.

EBITDA in the first half of 2014 totalled to US$34 million as compared to US$44 million in the first half of 2013, which was also a key factor contributing to a core operating loss of US$63 million in the period.

Global Brands, which is spin-off of the branded business of global supply chain specialist Li & Fung clocked a turnover of US$1,349 million for the six months ended 30 June, 2014 compared to US$1,330 million for the same period in 2013.

Although the global macro economy continued to show steady improvement during the first six months of 2014, extreme weather in the US, its largest market, affected sales volumes in the first quarter, Global Brands said.

Operating costs increased by 11.8% to US$463 million in the six months to June 2014, mainly from investments related to acquisitions and new brands added to its portfolio, such as Cole Haan, Quiksilver, Spyder, Juicy Couture and Aquatalia.

Additional factors impacting Global Brands’ first-half results included non-recurring expenses it incurred in relation to its spin-off and listing apart from the hike in operating costs associated with acquisitions made in first six months of 2014.

CEO Dow Famulak said, “We achieved solid results across both our Licensed and Controlled brand segments, primarily due to the fact that we have a well-balanced portfolio that covers a broad spectrum of product categories.”

“On the Controlled Brands side, we have a number of powerful brands, such as Frye, Spyder and Juicy Couture, where we see significant potential and from which we anticipate considerable positive impact on the Group’s turnover and profitability in future periods.”

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Kai Pilger from Pexels

Apparel/Garments | On 26th Apr 2018

FOBAP in the Philippines trying for garments sector revival

The Foreign Buyers Association of the Philippines (FOBAP), a body...

German investors keen to invest in Pakistan: top official

Textiles | On 26th Apr 2018

German investors keen to invest in Pakistan: top official

A German traders delegation will soon visit Pakistan to explore...

Courtesy: Uster

Textiles | On 26th Apr 2018

Uster Technologies acquires Elbit Vision Systems

Uster Technologies has announced the successful closure of the...

Interviews View All

Cyril Pereira
Reed Exhibitions India, organiser of Asian Machine Tool Exhibition 2016

'Major problem in the textile machinery manufacturing industry is the lack ...

Darshan Mehta
Infinium Polychem

We are spending double digit figures on R&D

Top executives
Textile industry

Knowledge sharing platform needed for sustainable water management

Rikesh Mistry

Jupiter Comtex Pvt Ltd, established in 1973, started its textile machinery ...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


April 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search